ISM CH5 - Consumer behaviour & culture

What is culture?

Culture is the sum of learned beliefs, values, and customs that influence the behavior of a society. (Laroche)
It is the collective programming of the mind that distinguishes one group from another. (Hofstede)

What are the 3 levels of culture (iceberg model)?

• Visible daily behaviors (e.g., clothing, food habits)

• Values and social morals (e.g., family roles, relationships)

• Basic cultural assumptions (e.g., identity, religion)
  💡 Deeper levels evolve slowly; visible ones change faster.

What are Hofstede’s cultural dimensions?

• Individualism vs Collectivism

• Power Distance

• Uncertainty Avoidance

• Masculinity vs Femininity

• Short-term vs Long-term Orientation

• Indulgence vs Restraint

What is Hall’s high vs. low context culture model?

• High-context (Asia): Info is implicit, relational, long-term RS

• Low-context (USA, Germany): Info is explicit, direct, and rule-based

Give examples of high vs low context cultures.

• Low context: Swiss, German, Scandinavian, American

• High context: South European, Arab, Asian

What are Hofstede’s layers of culture (onion model)?

• Values (core)

• Rituals

• Heroes

• Symbols (outermost)

How does culture influence marketing?

It affects product preferences, communication styles, and brand perception. Culture must be considered when positioning globally

What is environmental sensitivity in marketing?

The degree to which a product must be adapted for different cultures.

• Highly sensitive: Food, clothing

• Low sensitivity: Tech products, industrial tools

Give an example of environmental sensitivity.

Dehydrated soup is not popular in the U.S. because Americans prefer canned soups.

What is cultural intelligence (CQ)?

The ability to understand and interpret unfamiliar cultural cues the way locals would — essential for global marketers.

What are socio-cultural factors and why are they important in marketing?

They are deep-rooted influences (e.g., values, religion, norms) that affect consumer behavior.
Ignoring them can cause failure in product or message adaptation.

How has globalization affected values?

Advanced economies have seen converging values (e.g., gender equality), while stagnant ones show little change. But local preferences still persist.

Give an example of local cultural opportunity in marketing.

IQOS in Japan: Preference for menthol, no-smoke etiquette, high purchasing power, many smokers.

How does advertising differ across cultures?

• Japanese ads: Emotional, symbol-heavy

• Western ads: Product-focused, rational

Are global and local products mutually exclusive?

No—global and local products usually coexist. Globalized brands may dominate media but don’t replace local behaviors.